Statement of a problem № m1374


Using the DJIA data in Problem 5-39, use exponential smooth with trend adjustment to forecast the opening DJIA value for 2014. Use α = 0.8 and β = 0.2. Compare the MSE for this technique with the MSE for the trend line. In Problem 5-39, The following table provides the Dow Jones Industrial Average (DJIA) opening index value on the first working day of 1994–2013: Develop a trend line and use it to predict the opening DJIA index value for years 2014, 2015, and 2016. Find the MSE for thismodel.

New search. (Also 1294 free access solutions)

Online calculators